Overview :
Since our last analysis, gold has been trading downwards. As I had expected, the price tested the $1,208.18 level. Our head and shoulders formation is still active and it has been progressing so far. Our first take profit level at $1,225.00 has been reached. Downward take profit level is set at $1,193.00 (major Fibonacci retracement 38.2%). At the 30M time frame chart, I found weakness and a trendline that was broken upward . Watch for selling opportunities on the rallies. The first intraday take profit level is set at $1,208.30. The intraday resistance level is set at the price of $1,223.00.
Daily Fibonacci pivot points:
Resistance levels:
R1: 1,217.65
R2: 1,218.50
R3: 1,220.00
Support levels:
S1: 1,214.70
S2: 1,213.80
S3: 1,212.40
Trading recommendations for today: be careful when buying gold, watch for selling opportunities on rallies.
